182
*
585
594
If
in gold means that imports will be stopped in Hongkong. therefore Hongkong goes gold, there will be one country the less which buys silver and the depreciation of silver will have no end, especially if Singapore, Annam and Siam also adopt a gold standard.
6. of imports, rice which is the staple Chinese food is the most important. The rice producing countries are Annam, Siam etc. If Hongkong goes gold, Annam, Sian etc, will certainly do the same. Then, although the exchange between Hongkong, Annam and Siam will not vary greatly, there will an immense
be
difference between the Hongkong and Canton rates. A gold standard in Hongkong by raising the cost of goods in the interior, will make it hard for the people to support life. Goods will be stopped in Hongkong and trade will be paralysed. Where to-day in the interior $1 buys 3 tau of rice, in future owing to the gold rate $1 will only buy from 1 to 2 tau.
7. In conclusion, then, if Rongkong and Canton both go gold then the change would be possible: but if Cant on retains the silver standard it will not be possible for Hongkong to adopt a gold standard.